Name: Ajesh (31)
Resides in: pune
Profession: Software professionals Pvt. sector
Other details:Spouse - Asha Nambiar (28)
Status & goals
Ajesh and Asha are recently married. They want to have a blueprint for their financial life as they begin their life together. They plan to start investing immediately for their future goals and need guidance for the same. Their main goals are to plan for education for two children they plan to have and for their own retirement.
A guide for a new financial life together.
Monthly Income Rs 1,00,000
Monthly surplus Rs 40,000
Monthly expenses Rs 15,000
Emi on loans Rs 45,000
Annual expenses (PA) Rs 77,000
Goals in order of priority
Children Education (Inflation at 10%)
Current value Rs 10 lakh each
Future value (2035) Rs 81.40 lakh, 1st child
Future value (2039) Rs 1.19 crore, 2nd child
Children Marriage (Inflation at 8%)
Current value Rs 15 lakh
Future value (2043) Rs 1.51 crore, 1st child
Future value (2045) Rs 1.76 crore, 2nd child
Retirement Planning (2037)
(Pre- Retirement Inflation at 8%, Post Retirement Inflation at 7%, Growth of Corpus at the rate of 8%), Life expectancy 85 years)
Current Annual Expenses Rs 1.80 lakh
Future Value (2037) Rs 11.41 lakh per annum
Corpus Required Rs 3 crore
Property Rs 65,00,000
EPF Rs 4,00,000
PPF Rs 75,000
Fixed Deposits Rs 1,50,000
Mutual Funds Rs 3,00,000
Saving Accounts and Gold Rs 6,50,000
Ajesh has Rs 3 lakh in savings account and fixed deposit. This covers 5 months of expenses and EMI.
They have a decent health cover of Rs 5 lakh.
Ajesh has a term plan of Rs 50 lakh. The couple have a savings cum insurance policy of Rs 5 lakh each. The home loan is separately covered for the outstanding amount. The risk cover for Ajesh seems sufficient for now. Asha is under insured.
Their largest investment is property, which is their primary residence. Other investments are mostly in debt. They started investing in equity and gold through SIPs since last year.
Ajesh has an outstanding home loan of Rs 27 lakh at 11.25%. Car loan outstanding of Rs 3 lakh at 10.45%.
Credit card purchase was converted to EMI for which Ajesh is paying Rs 6,500 per month with 10 months to go.
They have Rs 3 lakh in liquid or near liquid form. This covers five months of expenses and EMI. They can continue to maintain this amount. The savings account should have the facility of linked FD’s. This will fetch them a little more in interest and will be convenient to use in case of an emergency.